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Pragmatic Capitalism

Practical Views on Money, Finance & Life

High Debt and Low Incomes = Low Housing Demand

Here’s an interesting piece of research from the NY Fed that explains why the demand for housing remains relatively low – potential buyers just have too much debt and not enough income:

housing1

The recovery continues, but it remains lumpy due to the high levels of debt and the lack of strong income growth.  The Balance Sheet Recession is ending, but it’s still having a lasting impact on the US economy….

Cullen Roche

Cullen Roche

Mr. Roche is the Founder of Orcam Financial Group, LLC.Orcam is a financial services firm offering low fee asset management, private advisory, institutional consulting and educational services.Cullen is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.
Cullen Roche

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